August 2017

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The Water Footprint Network would like to thank all organisations and

individuals that contributed to the development of this report, by sharing their

knowledge, expertise, views and opinions.

Any incorrect information provided is solely Water Footprint Network’s

responsibility.

The results and findings of this report are based on analysis done by

Water Footprint Network. The partners of the initiative consider it a living

document that will be adapted to the circumstances based on new

findings and concepts, future experiences and lessons learnt.

August, 2017

Alexandra Freitas and Ruth Mathews

1. Scope and approach

2. Viscose market production

3. Viscose production processes and key sustainability issues

4. Sustainability initiatives

5. Main gaps and conclusions

The current report comprises the results of an assessment of the most relevant and priority

sustainability issues in the production of viscose fibre along its supply chain.

The phases of viscose production included are cellulose (from wood(1)), pulp and viscose

fibres production.

The types of viscose included are: standard viscose, modal and lyocell.

The assessment comprises a mapping, within viscose’s production stages, of:

• viscose and its raw materials (wood and pulp) markets and key producers;

• the most prominent environmental and social issues in the production of viscose fibre at

each production stage;

• the existing standards and tools addressing sustainability of the viscose supply chain

• gaps at each production stage in existing sustainability initiatives regarding the key

sustainability issues at each production stage

The analysis was developed from a basis of available data and information gathered through

interviews of actors in the viscose supply chain. Data on viscose producers, market and

processing throughout its supply chain, from raw materials to fibres production, was collected

from different publically available statistics, reports and websites(2). Interviewees included

viscose fibres and retailer brands, a textile specialist, non-profit organisations focused on

sustainability, organisations developing guidance and performance measuring tools and

initiatives and auditing organisations.

(1) Cellulose for viscose production may also be sourced from cotton or bamboo, but only wood in analysed in

the current document, since wood from hardwood forests represents the main source of viscose’s raw

materials.

(2) A considerable amount of these data and information was collected during the research developed for

undertaking a Water Footprint Assessment of viscose, developed for C&A and with the support of C&A

Foundation

The sustainability issues considered in this analysis are:

Air Key processes and pollutants with impact on air

quality.

Water Water intensive processes and most relevant

effluents and wastewater pollutants.

Ecosystems Key processes with an impact on ecosystems.

Climate change Key processes with an impact on climate change.

Social

fairness/communities

Land and indigenous communities’ rights, health and

safety conditions of workers and impacts on

surrounding communities.

For each stage of production, the key sustainability issues are identified. These refer to the

aspects that are directly impacted. Aspects that are indirectly impacted are not identified,

since it is assumed that by addressing the key issues, secondary impacts will cease. An

example is the direct impact of industrial effluents on water quality and its indirect impacts

on people and ecosystems.

Health issues for consumers, such as hazardous substances in garments, are excluded

from the analysis. The three production steps (wood, pulp and fibres) are analysed

independently. However, it is important to note that integrated production of pulp and fibres,

allows a better control and management of chemical inputs and recovery, emissions and

energy reuse and therefore is more sustainable.

Global consumption of fibres at mills in 2015

Viscose is a man-made fibre derived from cellulose dissolving pulp and its raw materials are diverse, e.g.

wood, cotton or bamboo can be used. Currently, hardwood forests are the main source of cellulose used in

viscose production. Cellulose is transformed into dissolving wood pulp and sold to fibre producers for

filament or staple fibres production.

Cellulosic fibres have the third largest share of the total fibre’s market, after polyester and cotton. Viscose

production is growing globally with the largest share of dissolving wood pulp now being produced to make

viscose for the apparel industry.

Although the current market share of viscose

fibres is still relatively small when compared to

cotton or polyester, a larger production of viscose

for the textile industry is expected in the coming

years.

Global viscose fibre production capacity grew at

an average annual rate of 7.7% during the first

decade of the 21st century, driven primarily by

expansion in Asian countries, with China as the

most notable country. China has become the

world's largest viscose fibre producer, with its

output accounting for approximately 62% of the

global total in 2012. By 2013, China had more

than doubled its viscose fibre production in

comparison to 2007.

About 85% of the total viscose fibre production is

produced as staple fibres and about 15% as

filaments.

The viscose industry is highly concentrated in a

few corporate groups and companies, with some

owning all stages of production – from forest to

fibres. It is also geographically concentrated in a

few regions as presented in the following

sections.

Canada and Sweden: Both countries are amongst the largest dissolving wood pulp producers and

exporters in the world. They are both amongst the largest roundwood producers, however they also

import significant volumes of wood. Canada mainly imports roundwood from the USA, and Sweden

mainly from Norway, Latvia and the Russian Federation.

South Africa and Brazil: Both countries are large dissolving wood

pulp exporters, with South Africa being the top exporter and the

second largest producer. Although South Africa is not amongst the

largest wood producers, trade data indicate that both South Africa

and Brazil are more likely to use national wood resources for

dissolving wood production than for other uses.

United States of America: USA is the world’s largest producer of wood for pulp

production, the world’s largest dissolving wood pulp producer and the world’s second

largest dissolving wood pulp exporter. It is therefore expected that most of the wood

used for dissolving wood pulp production is produced in the USA and that both wood

and pulp are exported from the USA for viscose fibres production elsewhere in the world.

The main dissolving wood pulp producers and/or exporters importing wood from USA

are China, Canada and India.

Indonesia: Indonesia is not amongst the largest roundwood exporters or

importers. However, the country is amongst one of the largest wood for

pulp producers and has the second highest rate of deforestation globally.

Indonesia forests have been under the spotlight from many international

organisations and numerous campaigns because of the destruction of

Sumatra’s natural forested area into land-use such as eucalyptus (for

pulp production, including dissolving wood pulp for viscose fibres) and

palm oil plantations.

China: China is the largest dissolving wood pulp importer in the world

and is also amongst the world’s largest producers of dissolving wood

pulp, accounting for 3.5% of global production. China mainly imports

non-tropical roundwood from the Russian Federation, New Zealand, the

USA and Canada; tropical roundwood is sourced from several countries,

with the largest exporters to China found to be Papua New Guinea,

Solomon Islands and Malaysia.

Austria and India: These countries are amongst the largest dissolving

wood pulp producers in the world with the data indicating that most of

the wood is produced elsewhere. Austria mainly imports roundwood

from Czech Republic, Germany and Slovakia. India mainly imports

coniferous roundwood from New Zealand and the USA, and tropical

roundwood from Malaysia, Myanmar, Papua New Guinea and Ghana.

There is no publically available data on wood trade specifically for dissolving wood pulp production (and viscose), only for roundwood, which includes

wood for pulp and other end products. However, from roundwood trade data together with other viscose market information, it is possible to identify

some key geographies in terms of cellulose production for the viscose industry. These are presented below. Almost 70% of the dissolving wood pulp

produced globally is for export. South Africa and the USA are the largest exporters and in 2015 accounted for 40% of the global export market followed

by Canada, Sweden and Brazil with 34% of the global export market. The main importing region is Asia with China leading, which accounts for 51% of

global imports due to its large viscose fibres production.

cellulose

The key players in forest and wood production for the viscose market are Sappi,

Bracell (part of Royal Golden Eagle Group) and Rayonier.

United States

Brazil

South

Africa New

Zealand

Forest locations of main cellulose producers (for viscose)

pulp

In 2014, the total dissolving wood pulp capacity of Sappi, Aditya Birla, Lenzing, Bracell and

Rayonier accounted for about 53% of global production with Sappi alone holding

approximately 19% of dissolving wood pulp global production capacity. In 2009, Bracell (by

then under Sateri brand), supplied 40% of the dissolving wood pulp imports into China.

United States

Brazil

South

Africa

New

Zealand

Canada Czech Republic

Austria

Sweden

Laos

Locations of main dissolving wood pulp producers

China is the world’s largest viscose

producing region and its production

share has been growing in the past

years. In 2012 China accounted for

62% of the global total. By 2013,

China had more than doubled its

viscose fibre production in

comparison to 2007. In 2015 China

reached 66% of total production.

Indonesia and India are the second

largest producing regions.

Japan 1%

North America 1%

Taiwan 2%

Thailand 3%

Europe 9%

India 9%

Indonesia 9%

China 66%

World’s largest viscose fibres producing regions in 2015

fibres

Shandong Yamei

SanYou Chemical

Industries Manasi Aoyang Technology

The two top viscose producers are Lenzing and Aditya Birla. China is the largest producing

country and in 2013, 51.8% of China’s viscose staple fibres produced came from five

companies, namely Fulida Group, Sanyou Chemical, Aoyang Technology, CHTC and

Shandong Yamei.

Austria

China

India

Indonesia

Thailand

Locations of main producers of viscose fibres

Viscose is derived from cellulose. Cellulose is mainly sourced from hardwood

forests and plantations. Hardwood cellulose is then transformed into dissolving

wood pulp.

Dissolving wood pulp is then transformed into either viscose filament yarns or

staple fibres.

Schematics of viscose fibres production

The sustainability issues identified for each of the three stages of production

relate to the most relevant environmental and social aspects that are directly

affected. Indirect consequences, such as for instance, impacts on ecosystems or

communities due to water quality degradation, are not listed.

Currently, hardwood forests (which also include plantations) are the main source of cellulose

used in viscose production.

Trees from forests or plantations for viscose production are harvested, peeled and cut into

logs, usually where they are grown. Harvesting methods may vary substantially according to

the type of trees, region and practices used.

The logs are transported to the mill where they are debarked. Debarking can be either wet or

dry. In cold climates snow and ice need to be removed from logs to facilitate debarking. This

may be achieved in special conveyors with warm water or by steam and hot water at the

entrance of the debarking drum. In some cases, debarking may take place at the harvesting

site.

Wood chips yard and conveyor at a pulp mill in Paskov,

Czech Republic (2014)

Photo credits: Pavel P. Flickr

For instance, bark of mature eucalyptus and of

fresh spruce harvested during the growth

period is usually removed at harvesting site,

because logs contain strong stringy fibres

which are not suitable for a mill’s debarker

machine.

Once removed from the tree, bark may be

shredded and burned or used as biofuel after

drying.

For chemical pulping processes, wood logs are

reduced to chips. This may happen at the wood

harvesting site or at the pulp mill. If wood chips

are produced at the harvest site, wood chips

are often delivered to the mill in conveyors.

Ecosystems

Logging of ancient and endangered forest has an impact on

ecosystems, since these forests are home to a wide number

of endangered and protected species. Introduction of non-

indigenous trees, forests/plantations logging, maintenance

and management practices, especially in very intensive

productions, may have adverse impacts on local

ecosystems.

Social

fairness/communities

Logging of forests may impact indigenous people and local

communities by depriving them of their access to traditional

land uses, with a diverse range of impacts from food security

to communities’ safety, conflicts or cultural disruptions.

Water

Chemicals used in pest control and in fertilisation, soil

erosion and organic matter form debarking and transport,

degrade water quality; deforestation changes hydrological

patterns.

Climate change Forests store carbon dioxide and help control climate

change; deforestation decreases this capacity.

It is estimated that currently 120 million trees are cut down every year for viscose production

(canopyplanet.org), some of which are from endangered and ancient forest such as forests in Indonesia,

Canada’s boreal and temperate rainforests and the Amazon. Deforestation and degradation in endangered

and ancient forests may take place for the direct use of wood and/or to replace these forests with

production plantations.

Management and maintenance practices of forests and plantations grown for wood production require

undertaking a series of activities that may adversely impact the environment, depending on the specific

practices applied. Examples are clear-cuts and forest thinning activities, removal of natural vegetation for

tree development, use of agro-chemicals, irrigation at certain stages of development, building of access

routes, use of heavy machinery, etc. Wood debarking and transport also generate effluents with organic

loads.

In pulp production, wood chips go through a process of purification and separation of the wood fibres, in a

series of steps which require steam and chemicals inputs (e.g. sodium hydroxide, sodium sulphide or

sulphur dioxide). Types and amounts of chemicals used and their recovery vary according to the process

and methods used.

The resulting brown pulp is washed and cleaned through the process of cold caustic extraction, which

increases the purity of the pulp. The resulting product of the washing process is a black liquor, which can be

regarded as waste or as a by-product. Early pulp mills discharged black liquor to watercourses but

nowadays it is usually recovered for energy production – the black liquor is evaporated and then burned in

the recovery boiler, generating steam used in turbines to produce electricity. Pulp mills not only generate

energy from black liquor and forest waste biomass for their own use but may also produce surplus energy

that can be used in fibres production in the case of integrated production, or sold to others.

After cleaning and washing, the pulp is bleached with chemicals. Chemicals used in bleaching cannot be

recovered. Chlorine bleaching generates toxic effluents due to the presence of chlorates and organically

bound chlorine compounds, measured as AOX1. Therefore, many pulp mills have stopped using molecular

chlorine for the bleaching of pulp. Two alternative bleaching methods are applied.

Use of chlorine dioxide bleaching sequences. This is called ECF (elemental chlorine free).

Complete elimination of the use of chlorine products. Bleaching is achieved from a combination of

oxygen delignification with an ozone stage and/or a peroxide stage. This is called TCF (total chlorine

free).

1 Adsorbable organic halogens

Air

Emissions to air in pulp production consist mainly of compounds

containing sulphur, such as sulphur dioxide. Emissions also contain

nitrogen oxides, dust and carbon monoxide. Chlorine compounds

used during the bleaching process may be released to the

atmosphere. Volatile organic compounds are emitted to the

atmosphere from wood chips stored outdoors.

Water

Emissions to water are dominated by oxygen-consuming organic

substances. Effluent from the bleach plant, where bleaching

chemicals containing chlorine are used, contains AOX and

chlorate, which have toxic effects in the aquatic environment.

Chlorine bleaching may also result in dioxins emissions, which are

classified as persistent organic pollutants, highly toxic to humans

and the environment.

Social

fairness/communities

Workers may be exposed to toxic products, from chemicals that

are used in production, and to work accidents derived from

explosions or leakages in chemical storage areas.

Pulp mills have significant emissions to air and water, mainly due to the chemicals used in processing, but

also related to the organic compounds in the wood.

In the past, chemical pulp mills have caused serious air emissions of sulphur but in recent years, progress

in technology has enabled a reduction in sulphur air emissions. However, some processes are still

important sources of air pollutants1.

There has also been a decrease in the use of molecular chlorine as a bleaching chemical since the 1990s,

and environmental control authorities in many countries have set severe restrictions on the discharges of

chlorinated organics into the aquatic environment. The reduction of these compounds is dependent on

specific process measures applied at mills. However, reduction of the load of some chemical additives, the

emissions of nutrients and the discharge of suspended solids are still regarded as a challenge for the pulp

industry.

1Such as recovery boilers, lime kilns and on-site power plants

Viscose fibres’ production uses the so-called ‘viscose process’ where the pulp is treated with carbon

disulphide (CS2) and dissolved by adding sodium hydroxide solution (NaOH). This produces a

viscous orange-brown solution called ‘viscose’ where cellulose precipitates with carbon disulphide

and the by-product hydrogen sulphide is released.

This process applies both to standard viscose and to modal fibres. Modal processing is qualitatively

equivalent to viscose processing. However modal has a more intensive production, requiring larger

amounts of chemical inputs and energy. Lyocell processing differs from standard viscose and modal:

the solution of the pulp is undertaken by using an organic solvent – N-methylmorpholine n-oxide –

instead of carbon disulphide and sodium hydroxide solution.

The solution is next turned into fibre strings. This is done by forcing the liquid through a spinneret,

which works like a shower-head, into an acid bath. In the acid bath, the acid coagulates and

solidifies the filaments, now known as regenerated cellulose filaments. After being bathed in acid,

the filaments are ready to be spun into yarn.

In the spinning process, viscose can be turned into staple fibres or into filament yarns. In the

filament form, each individual strand of viscose fibre is continuous in length, whereas in staple form,

filaments are cut to short, predetermined lengths, making viscose easier to blend with other fibres.

Staple fibres are cut into short pieces after the spinning bath. These short fibres are spun into textile

yarns or processed into ‘non-woven’ products. In contrast, filament yarns are spun into long fibres

which can be used immediately.

Similarly to pulp, viscose fibres also require bleaching. When viscose fibres are claimed to be TCF

(Total Chlorine Free) or ECF (Elemental Chlorine Free), it means that both pulp and fibres were

bleached using the same process.

Air

Emissions to air during standard viscose and modal fibres

production consist of sulphur compounds, such as carbon

disulphide and hydrogen sulphide. (Not applicable to lyocell)

Water

Emissions to water are dominated by oxygen-consuming organic

substances from zinc sulphate used in standard viscose and modal

fibres production. If bleaching is applied to fibres, effluents may

contain AOX and chlorates, which have toxic effects in the aquatic

environment, and dioxins which are persistent organic pollutants

highly toxic to humans and the environment.

Climate change

Fibres production is an energy intensive process. Energy from non-

renewable sources contributes to CO2 emissions and climate

change.

Social

fairness/communities

Workers may be exposed to toxic products, from chemicals that

are used in production, and to work accidents derived from

explosions or leakages.

The use of carbon disulphide in standard viscose and modal fibres production generates air emissions of

sulphur compounds. The amount of air emissions will depend on the quantity of carbon disulphide used

in processing as well in the efficiency of recovery systems used. Emissions are greater for modal than

standard viscose, since modal fibres production requires larger input amounts of CS2. In lyocell fibres

production there are reduced amounts of air emissions due to the use of organic solvents and closed

loop systems which almost fully recover the chemicals used (>90% recovery).

The viscose process produces large volumes of wastewater. Both the product being produced and the

processes used in the production of fibres influence the quantity of wastewater created and its quality.

Fibre specifications may dictate the amounts of chemicals used, such as sulphuric acid and zinc. Fibres

may also require bleaching, and resulting effluents, like in pulp production, will depend on the bleaching

methods applied.

wood pulp fibres

Air

Water

Ecosystems

Climate change

Social fairness/communities

Although there are numerous initiatives in place to address sustainability in the textile

industry, those that specifically address one or more production stages of viscose fibres or

address viscose are very limited.

The current analysis focuses on the most relevant certification systems and initiatives

identified during the research period. It is not intended to be a comprehensive review of all

tools, guidelines and standards which may apply to specific emissions, industrial processes

or projects developed under specific environmental and social requirements. It also does

not cover regulatory aspects, which may play a relevant role in a product’s sustainability,

but vary significantly across geographies.

For each certification system or initiative evaluated in this study, a brief summary is

presented, followed by a list of the main strengths and weaknesses and perceived

effectiveness.

The perceived effectiveness of the certification systems and initiatives is based on

information available from reports on surveys, assessments and public consultation

processes and interviews conducted during this study. However, it was not always possible

to get the perception of effectiveness from all types of stakeholders and therefore

information presented is qualitative and limited to the available information.

It is important to note, that as one outcome from this research, there is a general

perception that there are strong limitations in mapping the supply chain and

ensuring an efficient and full supply-chain custody system.

Other systems were also analysed(1), but excluded from this report for not applying to

viscose fibres and its raw materials production.

(1) Fair Trade (only cotton); Cradle to Cradle and Safer Made

initiatives (focused on consumers’ protection; ZHDC (focused

on dyeing and finishing processes); Waste and Resources

Action Programme (WRAP)

FSC is a global, not-for-profit organization dedicated to the promotion of responsible

forest management worldwide.

The Forest Stewardship Council (FSC) Certification System is based on a set of

Principles and Criteria which set out best practices for forest management. Regional and

national standards transfer the Principles and Criteria to the specific conditions and

context found in each country or region.

Certification is carried out by an FSC accredited certification body, which confirms that

the operation complies with all relevant FSC requirements. If it does, they issue an FSC

forest management certificate, which is valid for five years and monitored annually to

make sure the company continues to meet FSC standards. If the forest owner or

manager wishes to sell FSC certified products (such as pulp), they will also need chain of

custody certification.

Chain of custody certification applies to manufacturers, processors and traders of FSC

certified forest products. It verifies FSC certified forest products along the production

chain. At each stage of processing and transformation, chain of custody certification is

needed to confirm that FSC certified wood products are kept separate from uncertified

products, or mixed in approved ways.

Main strengths

National standards and open to

public consultation

Strong chain of custody verification

process

Comprehensive throughout a wide

range of environmental and social

aspects

Certification scheme under the

International Social and

Environmental Accreditation and

Labelling (ISEAL) system

Main weaknesses

Lack of full transparency to public in

auditing processes

Regarded by producers as too

complex for smallholders

No non-announced audits

Some gaps in relation to

agrochemicals and greenhouse

gases inventory

Perceived effectiveness

Strong from NGOs’ perspective

Medium from producers’ perspective

The Programme for the Endorsement of Forest Certification (PEFC) is an international

non-profit, non-governmental organization dedicated to promoting Sustainable Forest

Management through independent third-party certification.

PEFC is an umbrella organization. National certification systems that have developed

standards in line with PEFC requirements can apply for endorsement to gain access to

global recognition and market access through PEFC International. PEFC is currently the

world's largest forest certification system with more than 300 million hectares of certified

forests.

PEFC has standards for Sustainable Forest Management which cover all types of forests,

group forest management certification schemes and chain of custody certification which

is a mechanism for tracking certified material from the forest to the final product to ensure

that the wood, wood fibre or non-wood forest produce contained in the product or product

line can be traced back to certified forests.

Main strengths

National standards and open to

public consultation

Good chain of custody verification

process

Easy group certification for

smallholders

Main weaknesses

The scheme is not under ISEAL

Highest governance forum does not

have balanced participation of

economic, social and environmental

representatives

No requirement for members to

commit to International Labour

Organisation core conventions

Some gaps in relation to high value

conservation areas

Lack of transparency and

participation of stakeholders in

certification processes

Perceived effectiveness

Strong from producers

perspective

Weak from NGOs perspective

Canopy is a not-for-profit environmental organisation focused on the protection of the

world’s endangered forests with a specific focus on the pulp industry for viscose and paper

production. Since 2012, Canopy has been working closely with viscose producers,

designers and brands to ensure sustainable wood sourcing for viscose production with the

aim of protecting endangered and ancient forests, under the CanopyStyle campaign.

Currently over 65 brands are working with the organisation

Canopy assesses viscose fibres producers with the tools and standards outlined in the

CanopyStyleGuide and the CanopyStyle Verification Audit. The performance indicators of

CanopyStyle Verification Audit include amongst others, transparency and traceability of raw

material sources; no conversion of natural forest to plantations; sourcing from ancient and

endangered forests and other controversial sources is eliminated; must respect and uphold

human rights and the rights of communities and workers; and preference to fibre sourced

from forests that are responsibly managed and certified by FSC.

Canopy has engaged the top 10 viscose producers, and nine of them have policies in place

committing “not to source from the world’s ancient and endangered forests, endangered

species habitat or other controversial sources”. This is a pre-requisite of Canopy’s audit

verification framework.

Canopy discloses publically on the assessment of the performance of viscose fibres

producers and ranks them according to their level of risk of sourcing from ancient and

endangered forests, leadership in advocating for conservation legacies, and work to

advance commercial production of alternative fibres.

Additionally Canopy addresses viscose’s pulp and fibres production stages by giving

preference to closed loop production and lyocell fibres.

Main strengths

Direct engagement with wood, pulp

and viscose fibres producers and

textile brands

Audit system enables companies to

track and analyse supply chain

performance in the protection of

ancient and endangered forests

Incentivises producers to invest in

alternative raw materials research

and protection of high value

conservation areas

Main weaknesses

Does not address the use of

agrochemicals

Perceived effectiveness

Strong from NGOs’ perspective

EU Ecolabel is a voluntary scheme for product certification including cellulose fibres

(standard viscose, modal and lyocell) managed by the European Commission. It is the only

formal certification system for viscose fibres production.

Only products with a market in the European Economic Area can be certified (even if

produced elsewhere in the world).

The EU Ecolabel criteria for textile products aim to promote textile products which are:

• sourced from more sustainable forms of agriculture and forestry;

• manufactured using resources and energy more efficiently;

• manufactured using cleaner, less polluting processes;

• manufactured using less hazardous substances and

• designed and specified to be of high quality and durable.

The EU Ecolabel includes all stages of viscose production and focuses on the aspects with

the highest environmental impact at each stage of production. For cellulosic fibres, the

criteria set minimum content levels of sustainable/legal wood (25% of FSC, PEFC or

equivalent certification); maximum loads of the most relevant pollutants for emissions to air

and water per unit of product in the industrial phases; does not allow the application of

elemental chlorine in bleaching; and requires that a minimum of 50 % of the pulp used to

manufacture fibres is purchased from dissolving pulp mills that recover value from their

spent process liquors either by generating on-site electricity and steam or manufacturing

chemical co-products.

Corporate social responsibility – according to International Labour Organisation (ILO) Core

Labour Standards – is only required for cut/make/trim production sites.

Main strengths

Certifies environmental sustainability

of viscose fibres

Emissions limits per unit of

production at the industrial level

All phases of production included

Focuses on the specificities of the

production processes and their

impacts for establishing the criteria

for a certain product

Main weaknesses

Only applicable to products with a

market in European Economic Area

Requirements set for a limited

number of issues and pollutants

Social aspects and water not

covered for all production stages

Perceived effectiveness

Strong within European

companies and consumers

The Higg Materials Sustainability Index (MSI), which is publicly available provides information about

the impacts of the production of materials used in the apparel, footwear, and home textile industries.

Standard viscose, modal and lyocell are amongst the materials for which information is available.

The Higg MSI is a scoring system for materials production based on Life Cycle Impact Assessment

(LCIA) analysis and data inputs from producers who voluntarily provide data complemented, when

possible, with available data from research. It is an initiative of the Sustainable Apparel Coalition (SAC)

- a private sector initiative which focuses on building a “standardized supply chain measurement tool

of environmental and social and labour impacts of making and selling apparel, footwear and textile

industry products and services.”

The Higg MSI addresses environmental aspects only, namely: global warming; eutrophication; water

scarcity; abiotic resource depletion (of fossil fuels) and chemistry (added chemical finishes).

For viscose all phases of raw materials production are included. The data available is from Lenzing;

Aditya Birla has also provided data which are currently being assessed for data quality. Users of the

tool not only have access to the scoring; they also may access metadata.

The tool provides benchmarks for each type of material/fibre. The benchmark relates to how a given

material compares to other materials. Currently, SAC members and other organizations with full access

to the MSI can access LCIA results, or midpoints, for all production process. SAC has plans in place for

such information to be publically available to any user.

Besides Higg MSI, Sustainable Apparel Coalition has other tools, namely: the design development

model, which provides a final design scoring based on choices made about materials (this tool is only

available for SAC members); and the Facility and Brand Indexes, which include environmental and

social aspects and scoring is provided based on the spectrum of policies and management tools in

place.

Scoring results can be communicated outside an organisation under specific Terms of Use.

Main strengths

Publically available scoring system

for materials sustainability

All phases of production included

Benchmarks for materials

Users may access metadata

Main weaknesses

Data limited to inputs from producers

who voluntarily join the initiative

Social aspects and forests not

covered

Benchmarks only relate to how a

given final product compares to

another final product; benchmarks

for individual processes limited to

major processes

Perceived effectiveness

Strong in terms of providing a

standardised metric, from

brands/retailers and producers

perspective

Weak in terms of requiring a significant

amount of resources within companies

to verify internal data accuracy and

make results actionable

Wood

Pulp

Fibre

Air

Water

Ecosystems

Climate change

Social fairness/

communities

Coloured cells indicate the key sustainability issues identified at each stage of production

Applicable initiatives

Air

Water • No documentation/audit of application, handling, storage

and disposal of agrochemicals required

Ecosystems • Gaps in transparency for both PEFC and FSC systems

• High conservation values are not fully covered in PEFC

system; PEFC does not require monitoring of impacts in

biodiversity or limit the introduction or use of invasive alien

species

• EU Ecolabel only requires 25% PEFC or FSC certified

sources to be used in the product

Climate change • Carbon sequestration and greenhouse gas missions are not

comprehensively addressed in PEFC and FSC systems

Social fairness/

communities

• PECF does not require producers to assess and maintain

category 5 High Conservation Values (Sites and resources

fundamental for satisfying the basic necessities of local communities or

indigenous peoples, identified through engagement with these

communities or indigenous peoples.)

Coloured cells indicate the key sustainability issues identified at each stage of production

Initiatives

Air • Local ambient air quality is not taken into consideration

• Chemical recovery during processing is only partially

required (50%)

• AOX compounds emissions are considered as a whole, but

toxicity varies significantly between compounds

Water • Local water conditions are not taken into consideration

• EU Ecolabel:

• only requires 50% of chemical recovery

• AOX compounds emissions are considered as a whole

but toxicity varies significantly between compounds

• Higg MSI:

• Environmental impacts based on limited data sources

• Data per process limited to major processing stages

Ecosystems

Climate change

Social fairness/

communities

• There are no specific initiatives addressing workers safety

and health conditions in the pulp industry for viscose

production. However, initiatives such as ILO Core Labour

Standards may be used as guidance for the industry.

Coloured cells indicate the key sustainability issues identified at each stage of production

Initiatives

Air • Local ambient air quality is not taken into consideration

Water • Local water conditions are not taken into consideration

• Environmental impacts based on limited data sources

• Data per process limited to major processing stages

Ecosystems

Climate change • Environmental impacts based on limited data sources

• Data per process limited to major processing stages

Social fairness/

communities

• There are no specific initiatives addressing workers safety

and health conditions in the viscose fibre industry.

However, initiatives such as ILO Core Labour Standards

may be used as guidance for the industry.

Coloured cells indicate the key sustainability issues identified at each stage of production

To achieve sustainable viscose production, it is necessary to address all sustainability issues throughout the entire supply chain.

Apparel brands and retailers need to focus their sustainability strategies and performance on their entire supply chain: from raw

materials to end products.

A significant investment is already taking place in innovation within the viscose industry, towards more sustainable fibres.

Examples are closed loop processes at industrial stages which minimise waste and emissions and promote recycling and energy

production; or the use of recycled materials as sources of cellulose. These are valuable and important contributions to a more

sustainable production of viscose.

Consumers, brands and retailers, manufacturers and producers of raw materials all have a role to play in increasing the demand

for and supply of sustainable viscose. Improving access to information about how sustainability issues are being addressed at

each stage of viscose production and in the locations where it is produced will support this movement toward sustainable viscose.

Sustainable geographic

context

Sustainable labour

Sustainable production

• Sustainable raw materials:

• Comply with best available forest certification systems for wood-based raw materials and audit to avoid Ancient and Endangered Forests

• Apply best agriculture management practices for crop-based raw materials

• Industrial processing:

• Maximise efficiency of natural resources use

• Minimise the use of chemicals and maximise their recycling and reuse in all stages of production

• Minimise emissions and waste in all stages of production

• Ensure human rights and labour conditions meet

best international practices and conventions

• Understand and monitor local social and

environmental issues

• Understand and address risks to and

impacts of own operations on local

social and environmental issues

• Understand impacts from others and

contribute to local sustainability by

engaging and collectively working with

local stakeholders

There are several initiatives addressing sustainability issues in textile production, some of

which focus on, or cover viscose fibres and their raw materials production. All of these

initiatives are valuable and are contributing to production of more sustainable viscose.

However, there are important gaps which need to be addressed in order to progress

towards sustainable viscose production.

1. There is a general trend across the textile industry of assessing the sustainability of the

production of textile fibres, at the product level (e.g., viscose, cotton or polyester fibres,

etc.). In doing so, specific processes used in the production of the fibres in question

are assessed for their environmental impacts. The results of a specific analysis such

as this are then used to be representative of all fibres of this type. This may result in

inaccurate product comparisons given that there are different processes that can be

used in the fibre production chain, with variations in the types and scale of

environmental impacts. Applying the results from specific assessments to generally

apply to all fibres produced can lead to misleading comparisons and results.

2. Logging of endangered and ancient forests for viscose production, directly for pulp

production or for replacement with eucalyptus plantations, which threaten ecosystems,

the rights of local communities and contribute to climate change, is currently the

sustainability issue getting the most notice in viscose production. Due to its visibility

and initiatives such as CanopyStyle, the issue is being addressed with the involvement

of the largest viscose fibres producers and apparel brands and with robust systems in

place. These efforts should continue and be supported by all viscose fibres producers

and apparel brands, and should focus on strengthening the systems’ robustness by

addressing their main gaps.

3. Sustainability issues in the industrial phases of viscose production do not draw media or

the public’s attention the same way as deforestation, since impacts are not so

immediately “visible”. Therefore, there are substantial gaps in sustainability certification

systems and initiatives when it comes to the industrial stages of viscose fibres

production. Two questions must be addressed for industrial stages of viscose fibres

production to be sustainable:

Are best practices and best available technologies being applied, i.e. is

production resource efficient?

Are sustainability limits being violated at the production locations?

Pulp and fibre production processes generate hazardous/toxic emissions to air and water,

are energy intensive and pose direct risks to workers and indirect impacts on surrounding

communities and ecosystems. However, the magnitude of impacts is greatly dependent on

the processes and management practices applied in production. For viscose fibres

production to be sustainable, all processes need to be resource efficient and the industry

should move toward best available technology and best practices across all production

stages.

Viscose fibres production cannot be sustainable if the production processes are occurring in

locations which suffer from unsustainable use of resources, e.g. degraded air quality, water

scarcity, high water pollution levels. Where air and/or water quality standards and

environmental flows are not being met, production activities are contributing to these

unsustainable local conditions. When these thresholds of air or water quality or water

availability have been crossed, the impacts on human and ecosystem health are greater

than in locations where they have not been crossed. Therefore, it is essential to the

assessment of the sustainability of viscose fibres production to consider where the

production has occurred and what the local environmental conditions are in those locations.

On the positive side, the viscose industry is highly concentrated in a few

corporate groups, concentrating efforts to improve the sustainability of

viscose fibres production with a small group of companies. The main viscose

fibres producers are already engaged in initiatives towards sustainable wood

sourcing. Industrial processing technologies and practices that improve the

sustainability performance of viscose production are available and some

producers are already applying them and investing in innovation for

more sustainable production. These factors combine to create a conducive

and enabling environment for sector engagement and collective efforts

towards more sustainable production at the industrial stages of viscose

production.

• Food and Agriculture Organization statistics 2015. Dissolving wood pulp production and trade

http://www.fao.org/faostat/en/#data/FO

• Food and Agriculture Organization of the United Nations. http://www.fao.org/forestry/statistics/80570/en/

• Textile Exchange, 2016.Preferred Fiber and Materials Market Report http://textileexchange.org/2016-preferred-fiber-

and-materials-market-report-overview/

• WWF Forest Certification Assessment Tool V3. http://wwf.panda.org/wwf_news/?246871/WWF-Forest-Certification-

Assessment-Tool-CAT

• Nepcon, 2012. Comparative analysis of the PEFC system with FSCTM Controlled Wood requirements

• European Commission, 2007. Reference Document on Best Available Techniques in the Production of Polymers.

http://eippcb.jrc.ec.europa.eu/reference/

• European Commission, 2015. Best Available Techniques (BAT) Reference Document for the Production of Pulp, Paper

and Board. http://eippcb.jrc.ec.europa.eu/reference/

• EU Ecolabel Textile Products User Manual. Commission Decision for the award of the EU Ecolabel for textile products

(2014/350/EU) Version 1.0 March 2015

• Report on the Public Consultation (2007). Revision of the EU Ecolabel Regulation (EC) No 1980/2000

• FSC National Standards: Principles and Criteria for Forest Stewardship (V5-2)

• International Generic Indicators (FSC-STD-60-004 V1-0 EN )

• FSC Chain of Custody Certification (FSC-STD-40-004_V2-1)

• FSC Ecosystem Services Strategy, 2016

• PEFC Standard Setting (PEFC ST 1001:2010)

• PEFC Group Forest Management Certification (PEFC ST 1002:2010)

• PEFC Sustainable Forest Management (PEFC ST 1003:2010)

• PEFC Chain of Custody (PEFC ST 2002:2013)

• PEFC Certification and Accreditation Procedures (Annex 6)

• Canopy Style Guide and Canopy Audit-Verification Framework and Guidelines, CanopyPanet.org

• The Hot Button Issue: CanopyStyle update on viscose producers and forests, 2016 http://canopyplanet.org/wp-

content/uploads/2016/10/The-Hot-Button-Issue-The-CanopyStyle-Report-2016.pdf accessed in November 2016

• Higg Materials Sustainability Index: http://msi.higg.org/page/msi-home accessed in December 2016

• Gibson, C.E. 2017. Evaluation of the Higg Index 2.0 and Other Sustainability Assessment Tools. Thesis submitted to

the Graduate Faculty of North Carolina State University

• High Conservation Values Resource Network https://www.hcvnetwork.org/about-hcvf/the-six-high-conservation-values

• Outlook for Dissolving Pulp, 2016, Report prospect. Hawkins Wright.

• Largest dissolving wood pulp and viscose fibres producing companies websites

• ASOS www.asos.com

• Canopy www.canopyplanet.org

• Lenzing www.lenzing.com

• NEPCON www.nepcon.org

• Sustainable Apparel Coalition www.apparelcoalition.org

• Textile Exchange www.textileexchange.org

• Textile expert

info@waterfootprint.org